#1STINGRAY Investor Presentation First Quarter 2023 Results August 2022 +++ +#2LEGAL DISCLAIMER This presentation has been prepared by Stingray Group Inc. ("Stingray" or the "Corporation") solely for information purposes. Recipients of this presentation may not reproduce or otherwise redistribute, in whole or in part, this presentation to any other person. Unless indicated otherwise, all amounts presented in this presentation are in Canadian dollars. Forward-Looking Information This document contains forward-looking information within the meaning of applicable Canadian securities laws. This forward-looking information includes, but is not limited to, statements with respect to management's expectations regarding the future growth, results of operations, performance and business prospects of the Corporation. This forward-looking information relates to, among other things, our objectives and the strategies to achieve these objectives, as well as information with respect to our beliefs, plans, expectations, anticipations, estimations and intentions, and may also include other statements that are predictive in nature, or that depend upon or refer to future events or conditions. Statements with the words “could”, “expect”, “may”, “will”, “anticipate", "assume", "intend", "plan", "believes", "estimates", "guidance", "foresee", "continue" and similar expressions are intended to identify statements containing forward-looking information, although not all forward-looking statements include such words. In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances contain forward-looking information. Statements containing forward-looking information are not historical facts but instead represent management's expectations, estimates and projections regarding future events. Although management believes the expectations reflected in such forward-looking statements are reasonable, forward-looking statements are based on the opinions, assumptions and estimates of management at the date the statements are made and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements. These factors include but are not limited to the risk factors disclosed in the Annual Information Form for the year ended March 31, 2022 available on SEDAR. In addition, if any of the assumptions or estimates made by management prove to be incorrect, actual results and developments are likely to differ, and may differ materially, from those expressed or implied by the forward-looking statements contained in this MD&A. Such assumptions include, but are not limited to, the following: our ability to generate sufficient revenue while controlling our costs and expenses; our ability to manage our growth effectively; the absence of material adverse changes in our industry or the global economy; trends in our industry and markets; the absence of any changes in law, administrative policy or regulatory requirements applicable to our business, including any change to our licenses with the CRTC; minimal changes to the distribution of the pay audio services by Pay-TV providers in light of recent CRTC policy decisions; our ability to manage risks related to international expansion; our ability to maintain good business relationships with our clients, agents and partners; our ability to expand our sales and distribution infrastructure and our marketing; our ability to develop products and technologies that keep pace with the continuing changes in technology, evolving industry standards, new product introductions by competitors and changing client preferences and requirements; our ability to protect our technology and intellectual property rights; our ability to manage and integrate acquisitions; our ability to retain key personnel; and our ability to raise sufficient debt or equity financing to support our business growth. Accordingly, prospective purchasers are cautioned not to place undue reliance on such statements. All of the forward-looking information in this MD&A is qualified by these cautionary statements. Statements containing forward-looking information contained herein are made only as of the date of this MD&A. The Corporation expressly disclaims any obligation to update or alter statements containing any forward-looking information, or the factors or assumption underlying them, whether as a result of new information, future events or otherwise, except as required by law. IFRS and Non-IFRS Financial Measures The annual consolidated financial statements of the Corporation have been prepared in accordance with International Financial Reporting Standards ("IFRS") as issued by the International Accounting Standards Board ("IASB") and are stated in Canadian dollars. The Corporation believes that Adjusted EBITDA and Adjusted EBITDA margin are important measures when analyzing its operating profitability without being influenced by financing decisions, non-cash items and income taxes strategies. Comparison with peers is also easier as companies rarely have the same capital and financing structure. The Corporation believes that Adjusted Net income and Adjusted Net income per share are important measures as it demonstrates its core bottom-line profitability. The Corporation believes that Adjusted Free cash flow is an important measure when assessing the amount of cash generated after accounting for capital expenditures and non-core charges. It demonstrates cash available to make business acquisitions, pay dividend and reduce debt. The Corporation believes that Net debt, Net debt to Adjusted EBITDA and Pro Forma Adjusted EBITDA are important measures when analyzing the significance of debt on the Corporation's statement of financial position. Each of these non-IFRS financial measures is not an earnings or cash flow measure recognized by International Financial Reporting Standards (IFRS) and does not have a standardized meaning prescribed by IFRS. Our method of calculating such financial measures may differ from the methods used by other issuers and, accordingly, our definition of these non-IFRS financial measures may not be comparable to similar measures presented by other issuers. Investors are cautioned that non-IFRS financial measures should not be construed as an alternative to net income determined in accordance with IFRS as indicators of our performance or to cash flows from operating activities as measures of liquidity and cash flows. Please refer to the Corporation's Management Discussion and Analysis for the year ended March 31, 2022, available on SEDAR at www.sedar.com for the definition of all non-IFRS financial measures and additional IFRS measures and, when applicable, a clear quantitative reconciliation from the non-IFRS financial measures to the most directly comparable measure calculated in accordance with IFRS. STINGRAY 2#3WHO WE ARE The Leading Distributor of Music Brands for Consumers and Businesses Globally BUSINESS o Retail Media (Stingray Advertising) ○ Al-driven customer insight (Chatter by Stingray) o In-store commercial music and digital signage CONSUMERS Connected cars and on-board entertainment systems in cars, planes and trains o OTT streaming services, mobile and web apps o Specialty audio & video TV channels. RADIO o +100 radio stations across Canada (incl. top ranking radio stations in major Canadian cities) . Commercial locations Apps Connected cars and onboard entertainment VOD Video on demand STINGRAY Television OTT Radio Over-the-top platforms Web STINGRAY 3#4WHO WE ARE Investment Highlights 1 2 3 Fast-growing business segments fueling organic growth Retail media [Stingray Advertising), customer insights (Chatter by Stingray), streaming services and connected cars Expert in global music distribution & rights management More than 400 million subscribers through multiple platforms, 101 radio licenses, 160 app downloads and over 200 licensing relationships Strong and predictable cash flow Long-term contracts and strong B2B relationships Strong advantage with proprietary innovative technologies and leading content curation expertise 4 LO 5 Track record of successful acquisitions and integrations Over 45 acquisitions completed representing outlays of approximately $845 million. STINGRAY 4#5Market & divisional updates STINGRAY 5#6BUSINESS CONSUMERS - RADIO Stingray Business - Building Solid Momentum for Growth Stingray Business powers commercial experiences for over 140K locations worldwide o The most compelling value proposition with innovative digital assets including in-store audio advertising (Stingray Advertising) and Al-driven insights (Chatter by Stingray) o Leveraging relationships with customers to increase average revenues per brand o Leveraging Stingray Business operations to quickly grow Stingray Advertising and Chatter by Stingray STINGRAY 6#7BUSINESS CONSUMERS - RADIO Stingray Advertising - A Solution for the Retail Media Fast-Growing Category o Retail media is marketing to consumers at or near their point of purchase, online or in-store. It represents one of the fastest growing advertising trends Audio Out-of-Home (AOOH) is the delivery of targeted digital audio ads in-store. Stingray leverages its technology, curated music services and advertising sales team to offer a turnkey solution o In a short period of time, Stingray's Retail Media offering through its AOOH solution has evolved from nascent to dominant with the development of a robust technology stack, the onboarding of Walmart, Metro and Dollarama, and expansion in the US, representing more than 20,000 locations in the aggregate STINGRAY#8BUSINESS CONSUMERS - RADIO Stingray Advertising - Selected Advertising and Retail Partners SELECTED ADVERTISING mentos gsk THE WINE GROUP McDonald's PARTNERS CAMPARI De P&G UNITED STATES POSTAL SERVICE. PERDUE. Colgate Puffs WRIGLEY'S Extra Advil 2 Pfizer Tim Hortons MICHIGAN LOTTERY Kellogg's NORTH AMERICA'S LARGEST AUDIO IN-STORE ADVERTISING NETWORK DOLLARAMA Harvest Foods CVS Health CARRS SAFEWAY ( Walmart food Walmart Basics DOLLARAMA metro Walmart Biogen Albertsons ♥CVS Health SUPERVALU Cub FOODS RITE AID ◆ Brunet Walmart metro 显 DOLLARAMA Super ADONIS Shaws Spartan Hoge ROUNDYS. A world of freshness TOPS Postar Chopper ♥CVS Wegmans Health SAFEWAY weis Jewel RITE VONS PAVILIONS Lucky ASSOCIATED GROCERS AID Associated Wholesale Grocers ACME Giant ♥CVS Health ♥CVS S SAFEWAY Albertsons ♥CVS Health Brookshire's RITE LAID SAFEWAY ingles Health Winn Dixie Randalls Tom Thumb ✓ RITE AID Southeastern Grocers Google abc R a Tito's Handmade VODKA THE PEACE MILES Beam SUNTORY and Mo Ziploc Uniford FRESCO Navarro STINGRAY 8#9BUSINESS CONSUMERS - RADIO - Stingray Advertising – Opportunities to Significantly Increase Monetization of Current Network • Increase pricing (CPM - Cost per thousand) in the US to Canadian levels by upgrading the US network into a more data-driven, automated, targetable and measurable solution o Add new sales channels, grow the national sales team and leverage an increasingly effective network effect to improve the sell-out rate of the current inventory • Increase the maximum number of ads to be played per hour for select retailers Simultaneously, expand the network from 20,000 drug & grocery stores within the total addressable market of 300,000 locations in Canada and the US Current sales Increase pricing Improve the sell-out Increase ads rate frequency STINGRAY 9#10BUSINESS CONSUMERS - RADIO Al Driven Insights - Adding Digital Solutions to Commercial Services Chatter by Stingray, uses Al-driven SMS conversations to provide a superior feedback experience for all categories of retailers. o Continued deployments to major enterprise brands Addition of capabilities to grow the product from a feedback platform to a customer engagement platform for retail business: o Introducing Chatter for online reviews, a new reputation management solution for brands < 9:41 all 20200 It was my furST CIFFIC Did you enjoy your coffee today? I did! That's great! Have you heard of our loyalty program? No I didn't no you guys had onel Where can I download it? Generica Coffee Drink Coffee, Get rewards. What's better? Here's the link! And here's a code to get a coffee on us! FREECOFFEE-34SV Thanks that's amazing! Anytime! Fanatics BMO BMO M NIKE chatter > ROGERS. Couche-Tard Staples. Ⓡ STINGRAY 10#11BUSINESS CONSUMERS RADIO Digital Fueling Organic Growth o Pivoted product offerings to become the leading music distributor in audio and video channels through connected cars, SVODs, Apps, FAST channels and more o The transformation and expansion of Stingray's Broadcast and Streaming divisions support strong organic growth in the US and abroad for years to come o Best in class asset and rights management, programming, Al and delivery technology allows Stingray to scale across all platforms STINGRAY 11#12Up 27.6% vs Q1F22 716 730 692 611 572 515 525 BUSINESS CONSUMERS RADIO SVOD & Apps - Growing Streaming Subscriptions o Tapping into a market that is expected to grow 65% to 1.5B subscriptions by 2026 14k additional net subscribers in Q1 2023 。 Q1F23 YoY growth of 27.6% o Leveraging new global relationship with Amazon for new market launches, including India and Australia (All Good Vibes bundle) o Focused attention on profitable SVOD products and B2B2C distribution (in lieu of Apps] COMCAST .izzı amazon channels Bell CLIQ COX. ROGERS. Source: internal data and Digital TV Research DIGITAL Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Q1F23 Total subs '000 STINGRAY 12#13BUSINESS CONSUMERS RADIO FAST & AVOD - New Global Partnerships to Accelerate Growth US Connected TV advertising growing by 25% YoY to 14.6B in 2023 ○ Significant growth (86% YoY) in streaming hours. o Launched a suite of AVOD & FAST channels for LG smart TVs and WebOS operating system worldwide, with impressive results (60% of the growth QoQ) o Deployment on TCL platforms to come in Q2 for US, Mexico, India, Brazil and Australia 9,057 7,749 6,874 6,440 6,039 4,863 Up 86.3% vs Q1F22 11,998 SAMSUNG TV Plus XUMO LLG TCL STI VIZIO peacock pluto tv Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Q1F23 FAST streaming hours in '000 Source: internal data. STINGRAY 13#14BUSINESS CONSUMERS RADIO Connected Cars - The Next Frontier for Streaming Services Making inroads in the connected car space, a sector experiencing tremendous growth: o Tesla is one of Stingray's partners with a very successful in-car karaoke collaboration. Tesla has over one million cars currently on the road o Stingray works with VinFast, a fast-growing electric car manufacturer, to develop a unique offering Stingray partnered with ACCESS Europe to bring Stingray Music to cars across Canada and the United. States through In-Vehicle Infotainment Platforms V VIN FAST TESLA cerence cinemo The Future of Infotainment ACCESS 40-0 G KARAOKE by 88 品 JR Home Discover Companion Genre POP Era ୪ ROCK R&B HIP HOP ROCK R&B/HIP HOP * D % 9:48 90s 80s 70s Auto Climate Synced 74° + STINGRAY 14#15BUSINESS CONSUMERS RADIO Stingray Radio - A Leading Radio Operator in Canada o Q1 overall organic revenues grew 9% YoY o Increase was locally driven as economic uncertainty and supply chain issues continued to affect national advertisers and key advertising categories (automotive, etc.) o Revenue growth was muted due to a high proportion of Stingray Radio revenues coming from Atlantic Canada which did not experience declines as significant as the rest of Canada during the pandemic (revenue gains in the low single digits) • Growth of digital offering remains strong (+49% YoY) o Strong cash flow fueling Stingray's strategic initiatives STINGRAY 15#16Financial results STINGRAY 16#17FINANCIAL RESULTS 1st Quarter 2023 Business and Subsequent Highlights JULY Stingray Advertising Partners with Geopath to Launch Place-Based Audio Out-of-Home [AOOH) Measurement in the United States JUNE MAY APRIL Stingray Signs Global Distribution Deal with LG to Launch FAST Channels & AVOD to LG Channels Introducing Musicstre.am powered by Stingray Music, the Free Music Rewards App Introducing Chatter for Online Reviews, a New Reputation Management Solution for Brands Qello Concerts by Stingray Announces Livestreaming Schedule of 56th Montreux Jazz Festival Stingray Classica Now Available Worldwide on Libby App. Metro Inc joins the Stingray Retail Media Network Stingray signs distribution agreement with TCL FALCON to launch FAST channels and AVOD on its Smart TVs Walmart Canada joins the Stingray Retail Media Network Stingray launches on Amazon Prime Video Channels in Australia STINGRAY 17#18FINANCIAL RESULTS Results for Q1 2023 ended June 30, 2023(1) FY23 FIRST QUARTER - 2023 FY22 VAR FY23 YEAR TO DATE FY22 VAR Revenues $78.1 M $64.3 M ▲ 21.6% $78.1 M $64.3 M 21.6% Adjusted EBITDA $26.1 M $24.2 M 8.0% $26.1 M $24.2 M ▲ 8.0% $9.4 M Net income $0.13 per share $4.2 M $0.06 per share ▲ 123.7% $9.4 M $0.13 per share Adjusted Net income $0.19 per $13.2 M share $11.2 M $0.16 per share 17.9% $13.2 M $0.19 per share $4.2 M $0.06 per share $11.2 M $0.16 per ▲ 123.7% 17.9% share Cash Flow from Operations $16.3M $0.23 per share $16.3 M $0.23 per share ▲ 0.1% $16.3M $0.23 per share $16.3 M $0.23 per share ▲ 0.1% Adjusted FCF $15.7 M $0.22 per share $0.21 $15.0 M per share 4.3% $15.7 M $0.22 per share $15.0 M $0.21 per share 4.3% Note 1: Refer to "IFRS and Non-IFRS measures" and to "Supplemental information on Non-IFRS measures" in the latest quarterly report. STINGRAY 18#19FINANCIAL RESULTS Strategic Revenues Increase Leading to Continued Growth Perspective "STRATEGIC GROWTH" VS. CASH FLOW REVENUES Strategic growth revenues in % of total revenues back to pre-radio acquisition level 56% 61% 61% 58% 56% 69% REVENUES PER DIVISION $306.7 $296.5 $282.6 $247.9 $212.7 $152.3 $126.3 $123.5 $97.8 $65.9 $130.2 44% 42% 44% 39% 39% $146.7 $154.5 $150.0 $159.1 $170.2 $130.2 31% FY18 FY19 (Radio - 5 months) FY20 FY21 (Covid-19) FY22 LTM FY18 (Covid-19) FY19 (Radio -5 months) FY20 FY21 (Covid-19) FY22 (Covid-19) LTM All in CAD$ millions I Stategic growth revenues (1) Cash flow revenues (CPS, Radio) Consumers & Businesses revenues Radio revenues Note 1: "Strategic Growth" revenues include digital streaming & apps, FAST channels, Stingray Advertising, Chatter by Stingray, other digital sales & commercial revenues. STINGRAY 19#20FINANCIAL RESULTS Business Model Leading to High Margins and High Cash Generation $41.5 ADJUSTED EBITDA AND NET INCOME $2.3 $72.2 $118.1 $114.3 $99.3 $101.2 $14.0 $45.1 $38.5 $33.3 $44.7 $38.8 $30.6 $19.9 FY18 -$12.0 FY19 FY20 FY21 (Covid-19) FY22 (Covid-19) LTM FY18 FY19 Adjusted EBITDA (1) Net income CASH FLOW $104.2 $88.1 $83.7 $83.7 $78.4 $74.4 FY20 $56.9 $57.6 FY21 (Covid-19) FY22 (Covid-19) LTM Cash flows from operating activities Adjusted Free Cash Flow (2) All in CAD$ millions Note 1: See the reconciliation tables for Adjusted EBITDA in the Annual and Quarterly reports. Note 2: Refer to "IFRS and Non-IFRS measures" and "Supplemental information on Non-IFRS measures" in the Annual and Quarterly reports. STINGRAY 20#21STINGRAY Unleashing the power of music